VALUE STREAM MAPPING – Optimum Value to the Customer
Value Stream Mapping is a process mapping technique. It helps you see the flow of the process and the communication within the process.
Value stream mapping has gained acceptance from stakeholders since it enables everyone, including managers, employees, suppliers and customers to see value. That is, to differentiate value from waste and to create a plan of action to eliminate this waste.
Hence a value stream map will help you visualize the flow of value through a series of activities in a business process. Taking the product or service from the beginning, through to its customers.
A Value Stream Map is divided into three sections:
The Process Flow shows the flow (or lack of flow as is often the case) of activities. That is taking the product or service from the raw material through to delivery of the final product to its customers.
Value Stream Process flows separates the major tasks from the minor tasks. In addition, show where optional paths and where parallel tasks occur. In turn highlighting the struggles, problems and identifying non-value added activities that exist in the process.
Non-value added activities are those activities that add no value to the process or for which the customer is not willing to pay. These activities are then analyzed to identify waste and improve business processes.
Upon completion of the process flow, add the internal/external or formal/informal communication touch points – expanding the value stream map. Also, to understand the passing of information, connect documents and systems to the process flow. Much of the confusion that appears within a value stream traces directly to the non-value added communication and information.
Furthermore, capture the timelines/travel distances (if applicable) against the process flow. Capture time taken to perform each and every activity as well as capture wait time/delay between the activities. Adding total execution time and delay time will provide the total cycle time for the entire process.
Also, in particular for manufacturing or supply chain industries you can capture the distance travelled while performing the activities. Removing or reducing delay times as well as distance travelled can improve the efficiency of the operations significantly.
Value Stream Mapping with PRIME
The PRIME Suite’s Process Mapping and Process Analysis engine captures:
- Process Flows
- Communication and/or information flows
Within the Process Mapping the users can capture the tasks, documents, systems and roles that perform these tasks. In addition, it has provision to capture time taken to perform the tasks and delay time incurred across the process and the value provided by these activities to the business, customers or none.
The Process Mapping engine uses globally accepted BPMN 2.0 standards. These enable you to capture all hand off points and providing visibility in your communication flow. Whether that is between departments, customers and/or suppliers.
Once all information is on hand, PRIME Process Analysis statistical engine will quickly provide the result on what’s the percentage non-value added activity performed within this process. In addition, it will also provide the time taken to perform all the non-value added activities and costs incurred by the business performing non-value added activities.
This will provide a platform to understand the potential for cost saving and increasing the value to the customer helping you increase customer satisfaction.
START Value Stream Mapping with PRIME
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